Gov. Ned Lamont and fellow Democrats could be headed for a collision course over artificial intelligence – for a second straight year.

Calling it the “Wild West,” the Connecticut state Senate is expected to approve sweeping new AI regulations late Wednesday night.

Supporters stripped out the bill's most controversial sections, but it's unclear if it's enough to avoid a veto from Lamont.

Artificial intelligence is just about everywhere. It can speed up Amazon deliveries, improve your internet searches and lower your doctor’s bill. ChatGPT can even write a term paper for you.

But AI can also be used for scams and “deep fakes”, where highly-sophisticated software impersonates you or someone else. It can also make automated, life-altering decisions – like denying you health coverage.

Now, some Connecticut lawmakers want to regulate the rapidly growing technology.

A bill poised to pass the state Senate requires that consumers be notified when AI is being used, what data it’s using and what decisions it’s making.

“We’ve seen the Trump administration literally put regulations in the shredder that President Biden worked on with stakeholders,” said Senate Majority Leader Bob Duff (D-Norwalk). “Now, it’s literally the ‘Wild West.’”

Consumers could also appeal decisions made by AI if the determination was based on materially incorrect information.

But the legislation faces an uphill battle. Before Thursday’s debate, Lamont said the law could scare away new tech startups.

“I just worry about every state going out, doing their own thing, a patchwork quilt of regulations. Connecticut being probably stricter and broader than most,” he told reporters.

For several hours on Wednesday evening, top Senate Democrats huddled to reach a compromise with Republicans.

They removed sections referencing when AI users could be sued for "algorithmic discrimination" – including discriminating against people applying for jobs, loans, health care, college admissions and housing.

Lamont believes existing laws are adequate.

"I understand people's concerns about AI. I know about ‘deep fakes,'" he said. "I also know that our consumer protections laws are really strong.”

The governor supports parts of the bill that criminalize “deep fake” pornography and expanding AI research and job training.

Last year, the Senate passed similar legislation – but the Connecticut House of Representatives never called it for a vote after Lamont threatened a veto.

Without his blessing, the latest version is likely to face a similar fate.

“Did they reach a deal?” said House Speaker Matt Ritter (D-Hartford). “If they were able to get there with the administration, that’s great. We’d love to run the bill.”

To win over skeptics, the new bill shields companies from lawsuits if their AI systems follow national industry standards and don’t commit a “wanton, willful or grossly negligent act.”

But some Republicans said Congress – not a small state like Connecticut – should regulate the burgeoning industry.

“We’re seeing in California and Colorado – the laws that they’re putting forth aren’t getting off the ground because they recognize one state can’t regulate this arena,” said House GOP leader Vin Candelora (R-North Branford).

The clock is ticking for both sides to reach a compromise. The General Assembly session ends in three weeks.